Copyright Asteroid Hurtling Toward Earth, Impact Due 2013

Evan Schnittman observed it as a smear of light on the fringe of our galaxy, but it took media guru Mike Shatzkin to fully articulate its significance. And significant it is, a possible game-changer in the internecine struggle among authors, publishers, and Google. It has to do with a little-known provision of the US Copyright Act of 1978.

Schnittman, a Vice President of Business Development and Rights for Oxford University Press, mentioned it almost as an afterthought at the end of "There Will Be Disintermediation", the final installment of a brilliant three part analysis in his Black Plastic Glasses website. "Mark your calendars, folks," he declares, "the disintermediation begins on January 1, 2013. What happens on January 1, 2013? See for yourself in the US Copyright Act of 1978, section 203. {…Termination of the grant may be effected at any time during a period of five years beginning at the end of thirty-five years from the date of execution of the grant…}" [bold print is Schnittman's.]

"What if this change," asks Schnittman, "was so significant that it could possibly even spawn an industry wide reset of the way we do things?" He leaves us panting for an answer, and Shatzkin provides it:

"It turns out there is a clause in the 1978 copyright law that allows any author to reclaim any copyright despite any contract with a publisher, simply by serving notice. The copyright can be reclaimed no less than 35 years and no more than 40 years from the book’s original publication. So books published in 1978 can be reclaimed by their authors from 2013-2018.".

"One wonders" Shatzkin ruminates, "how many agents are aware of this law and are preparing for it."

Actually many agents have been aware of it for years, and a number have invoked it. It's commonly referred to as the "Widows and Orphans Provision," because it entitles immediate family members to recover from publishers or certain derivative licensees (like movie companies) the copyrights to works published by a deceased author. (Don't worry, men, widowers are included!) What some agents may not be aware of is that an author doesn't have to be dead for the reclamation to take place; he or she simply has to live long enough to take advantage of the provision. For books licensed to publishers after January 1, 1978, the law is effective "thirty-five years from the date of publication of the work under the grant or at the end of forty years from the date of execution of the grant, whichever term ends earlier."

What surprises Shatzkin is that Article 203 has not come up in discussions about the Google Settlement, and we owe him and Schnittman a debt of gratitude for placing it on the table.

Until recently we'd have said that (except for a small number of evergreen backlist books) most titles coming up for reclamation under the Act are worth little or nothing. But with Google's push to monetize old books, even moribund ones may have value either to their authors, their publishers, or Google. As Shatzkin puts it, for some old books "it looks like a new payday has been set up."

For the full text of Article 203 of the 1978 Copyright Act, click here.

Richard Curtis